When it comes to bad investments Sahm Adrangi is an expert at finding them and making money from them. This is due to his talent for short selling the stocks of companies that he sees as fraudulent or engaging is dishonest business practices. The latest company he has set his sites on is Kodak Eastman Company. Now that Sahm Adrangi and his company Kerrisdale Capital Management have focused on Kodak’s big picture, their outcome does not look good.
Kerrisdale Capital and Sahm Adrangi who also serves as their Chief Investment Officer as well as their founder have released an extremely negative report about Kodak and their two new proposed projects KodakOne and KodakCoin. While Kodak and their representatives have put a lot of hype into their new cryptocurrency and digital image licensing platforms and insisting that they will change the future of how photographers and artists get paid for their work, there is a lot of skepticism. A lot of this skepticism comes from concerns about whether or not they will be possible to implement due to technical problems and legal issues. Along with these issues, Sahm Adrangi and many other investors do not believe photographers will be interested in getting paid for their work through their cryptocurrency project.
KodakCoin and KodakOne are in development in conjunction with the controversial company Wenn Digital. Wenn Digital specializes in different types of digital currencies and has faced a lot of criticism over their practices. The president of Wenn Digital was also partners with a convicted fraudster. This combined with the information about shady trading practices by members of Kodak’s own board of directors has a lot of people concerned about the legitimacy of these platforms.
Whether or not Sahm Adrangi is right about his suspicions will only be known with time. With his successful history of short sale attacks, it doesn’t look good for Kodak. Unfortunately for Kodak, with Sahm Adrangi’s predictions being covered by news outlets such as CNBC, bankruptcy seems close at hand as the larger picture of the company develops.